FUEL SHORTAGE An act of sabotage?

CPC received 1,581 fuel orders yesterday: Chairman

CPC ready to distribute fuel if the trade unions continue with their TU action   

Fuel stocks in the country sufficient for three weeks 

By Ajith Siriwardana   

Refuting claims of the fuel distributors that existing fuel stocks at filling stations would last only till this morning, CPC Chairman D.J. Rajakaruna said yesterday there will be no fuel shortage as CPC had received 1,581 orders by yesterday morning across the country and that fuel was distributed despite yesterday being a Sunday. 

He told reporters that orders placed yesterday are for the requirement of today and that there is no reason for a fuel shortage today, as claimed by the distributors.   
The Chairman said there are sufficient fuel stocks in the country for three weeks and that orders have already been placed until August.   
“If a fuel shortage occurs in the country, either fuel stocks must be finished or there should be currency issues to order fuel. But none of these is true right now. We have fuel stocks sufficient for three weeks and have placed orders for fuel till late August,” he said.   
He said the government is investigating whether there is an act of sabotage behind attempts to create fuel shortages, and that the CPC is ready to distribute fuel if the trade unions continue with their TU action.   
He said the CPC had a discussion with CPC fuel distributors on Tuesday morning and that CPC is ready to discuss and resolve any issue amicably.   The Fuel Distributors’ Association claimed on Saturday that existing fuel stocks at filling stations would last until Monday morning, following the suspension of fuel ordering activities.   

Govt. doubles up measures for deal with Qatar for petroleum purchases

Establishment of filling stations to be rationalised

Currently, Sri Lanka purchases fuel from the open market after calling for tenders from suppliers

By Kelum Bandara

In a bid to avert any energy crisis in the future, the government is hurriedly taking measures to purchase both petroleum products, including LNG (Liquefied Natural Gas) from Qatar under a government-to-government agreement, an official said.  

Chairman of the Ceylon Petroleum Corporation (CPC) D.A. Rajakaruna told Daily Mirror that two rounds of talks had been conducted with Qatar Energy, formerly Qatar Petroleum, to explore the possibility of importing such products at cheaper rates under a government-to-government deal.

He said Qatar Energy is a state-owned company and, therefore, energy purchases under such a deal are possible.

Asked about similar plans with the United Arab Emirates (UAE), he said, “In that country, only private companies handle the process.”

Currently, Sri Lanka purchases fuel from the open market after calling for tenders from suppliers. Besides, the government is planning for the rationalisation of setting up new filling stations in the future. Mr. Rajakaruna said around 1,300 filling stations are in operation at the moment, but most of them have been set up in an ad hoc manner. 

“At every junction, there is a filling station. Hereafter, new ones will be put up according to a scientific map being worked out by the Moratuwa University, “ he said.      

Fuel distributors warn of shortage from today

Acknowledges that 1,581 orders had been placed before 10 a.m on Friday but no new orders had been placed after that

Association decides to stop post-payment fuel supplies to govt. entities  

By Chaturanga Pradeep Samarawickrama   

While disputing the statement made by Ceylon Petroleum Corporation (CPC) Chairman stating that there would be no fuel shortage this week, the Fuel Distributors’ Association said that no fuel orders had been placed since Friday and the public were warned to expect a shortage from today. 

The Association acknowledged that 1,581 orders had been placed before 10 a.m on Friday (February 28), but no new orders had been placed after that.   
They further said that existing fuel stocks at filling stations would last until Monday.   

“A central committee meeting was held on Saturday (1) evening, where it was decided to submit a Sandeshaya to the Presidential Secretariat on Monday (3). Even though no orders had been placed, the CPC had begun sending fuel bowsers on credit over the weekend. However, this practice cannot continue, as the CPC cannot send fuel bowsers on credit,” the Association said.   

As a result, the Association said that while some stations had received fuel over the weekend, most of the filling stations had put up notices saying they did not have fuel.   

The Association further said that they had decided to halt post-payment fuel supplies to government institutions. Previously, entities such as police departments and hospitals were allowed to settle bills after one or two months, but as of Friday, no fuel will be supplied on credit.